bet365 joins Sports Betting Alliance, Expanding Presence In US

Bet365 has officially joined the Sports Betting Alliance (SBA), reinforcing its position as a key player in the competitive landscape of US sports betting. This notable addition marks the first new member welcomed into the organization since its establishment in 2021, which originally included industry heavyweights such as BetMGM, DraftKings, Fanatics Sportsbook, and FanDuel.

SBA President Jeremy Kudon expressed enthusiasm for Bet365’s membership, remarking, “Having Bet365 in the SBA is a significant development that I couldn’t have imagined six years ago.”

Bet365’s Strategic Expansion in the US Market

The integration of Bet365 into the SBA significantly enhances the company’s market presence in the United States. Currently, Bet365 dominates approximately 10% of the UK betting market and roughly 4% in the US, operational in 13 states with ambitious plans for further expansion.

In recent months, Bet365 launched its services in Pennsylvania and entered the Tennessee market earlier this year. Furthermore, the company has formed a strategic partnership with the St. Louis Cardinals, positioning itself to tap into Missouri’s sports betting market upon its anticipated opening in December 2023.

This aggressive expansion strategy has proven lucrative, leading to a remarkable 9% increase in revenue for the financial year ending March 2024, with figures rising to £3.72 billion ($4.6 billion) compared to £3.41 billion ($4.32 billion) the previous year. Notably, the company returned to an operating profit of £396.6 million ($503.7 million), a significant turnaround from the operating loss of £37.3 million ($50.6 million) from FY 2022-23, primarily due to substantial investments in new markets across the US, including Colorado, Ohio, Virginia, and Iowa.

Recognizing America as a priority for growth, Bet365 divested its 98% ownership stake in Stoke City FC and ceased operations in China, stating that these decisions represent “the best, most sustainable way for Bet365 to continue its global expansion.” Following the ownership transfer to co-CEO John Coates, the club now operates independently from the Bet365 group.

In addition to its US ventures, Bet365 has also made significant inroads into the newly regulated markets of Ontario and Brazil.

Bolstering the SBA’s Influence

The inclusion of Bet365 amplifies the SBA’s already formidable presence in the US sports betting market. The organization has actively lobbied against punitive tax measures and advocated for broader legalization of sports betting across the nation. A prime example of this advocacy is the SBA’s staunch opposition to the recent proposal to impose a tax on every bet in Illinois, which was branded “discriminatory, punitive, and constitutionally suspect.” In response, the SBA coordinated a massive campaign, generating 76,000 emails to Illinois lawmakers to urge reconsideration of the proposal.

Despite these efforts, the proposed tax hike has not undergone revisions, with Kudon emphasizing that such measures only serve to empower the illegal market. Regulated sportsbooks continue to face stiff competition from unregulated offshore entities, underscoring the necessity for continued advocacy.

The SBA aims to leverage its increased strength to deter similar tax implementations in other states, as evidenced by Ohio’s ongoing discussions about potential taxes on both betting handle and revenue. The organization also maintains its commitment to legalizing sports betting in states such as Georgia, Hawaii, Kentucky, Vermont, and California. With Bet365’s inclusion, the SBA is better positioned to fulfill the prediction market’s optimistic outlook: legalized sports betting across all 50 states.

As articulated in its mission statement, “The SBA believes customers in all 50 states should enjoy the benefits of transparent and legal sports betting and online casino gaming with consumer protections and responsible gaming tools that do not exist on the unregulated market.”

By fostering a landscape supportive of responsible gaming while continuing to advocate for regulatory reform, the SBA, bolstered by Bet365’s influential presence, aims to catalyze a more equitable and accessible sports betting environment for all consumers.

Adam Roarty is an experienced writer with a strong background in the gambling industry. With five years as a content writer and editor for notable publications such as Oddschecker, CoinTelegraph, and Gambling Industry News, Adam brings valuable insights into the dynamic world of sports betting and online gambling. He focuses on emerging trends, regulatory developments, and the evolving landscape of betting in the United States.